Bitcoin is one of many cryptocurrencies – electronic currencies that have no physical equivalent. They cannot be transferred to a traditional bank account. The foundation of their existence is the cryptographic code, which is read-only by applications are written for this purpose.
Where can you pay with bitcoins?
The phenomenon of bitcoin results from the fact that it is the most recognizable cryptocurrency, allowing not only to pay online but also at selected traditional service outlets. It is also possible to withdraw the accumulated BTC funds at dedicated ATMs.
Very often bitcoin is also presented on websites with exchange rates, although it is not controlled by any central bank or state government.
For what is digging Bitcoin?
Bitcoin mining is another issue. The question of how to dig bitcoins cannot be answered in one paragraph. Mining takes place in a mining group (pool), you can also dig on your own (solo). Success depends on network difficulties, hardware computing power, so-called “Excavators” and luck because the digging process is quite random.
What speaks for cryptocurrencies? What are its benefits?
The undeniable advantage of bitcoin is the great ease of use. Bitcoins are not processed during the transaction process by intermediaries (including banks, payment operators), which affects the speed of transactions and low operating costs. Because it is not a state currency, currency conversion has been eliminated (applies to international transactions), which is based on traditional money. The transferred bitcoins are immediately sent to the target bank account. It doesn’t matter if the transfer is made within a given country.